Serbia agrees to privatization under arrangement with IMF

NEWS 25.07.2018 09:23
Source: FoNet/Nenad Djordjević

Belgrade daily Politika reported on Wednesday that the Serbian government has agreed to privatize a number of state-owned companies and banks and close down two mines.

Under a new 30-month arrangement with the International Monetary Fund, Serbia has obliged itself to meet a number of goals within specific deadlines.  

The government signed an arrangement with the International Monetary fund under which it is obliged to organize tenders to privatize companies such as the PKB agriculture combine, the Petrohemija and MSK chemical products plants and the Komercijalna Bank with a tender for the bank called in June 2019.  

The government also agreed to a possible rise in electricity prices and the closure of two mines in the Resavica mining complex which have been deemed to be unprofitable.  

The arrangement calls for an analysis which could lead to higher power prices. The Serbian power company (EPS) is also expected to be transformed into a shareholder society by 2020, under the arrangement.